The affordable housing development rising on a portion of the Georgia King Village in Newark‘s Fairmount neighborhood celebrated a milestone this week, joined by development partners, officials and others.

On May 24, Lt. Gov. Sheila Oliver, Newark Mayor Ras Baraka, L+M Development Partners, Type A Projects and MSquared laid the foundation for the project that is being developed under the New Jersey Housing and Mortgage Finance Agency’s Hospital Partnership Subsidy Program.

With a goal of improving health outcomes for residents, the new work will create a gateway to University Hospital, which will operate a ground-floor clinic and hospital space at the building.

“The Hospital Partnership Subsidy Program began with a very simple premise: Housing is health care. Where and how people live affects their well-being,” said NJHMFA Executive Director Melanie Walter. “This innovative program is a vehicle for hospitals to make impactful affordable housing and wellness investments in their communities. The high-quality apartment housing produced through these development partnerships also ensures resident access to critical resources, including wraparound services for residents with special needs.”

The development, first announced last May, will include 78 affordable units serving low- and moderate-income households.

“This important $42 million project addresses three critical issues in the City of Newark with compassion and collaboration: providing affordable housing to residents, providing housing to residents without addresses, and increasing access to public health facilities,” said Baraka. “These are among our administration’s core commitments in creating a Newark we can all be proud of. I thank L+M and the other partners for their work in this program.”

The project secured construction financing in March. Sixteen units will be reserved for homeless individuals and families, and will be supported by project-based rental vouches through the New Jersey Department of Community Affairs’ Housing Choice Voucher Program. The Newark Housing Authority will also put up 30 project-based rental vouchers.

“We are excited to break ground on a development that brings both quality affordable housing and access to healthcare to the Fairmount neighborhood as part of our longstanding commitment to revitalization of Newark,” said Jonathan Cortell, Managing Director at L+M Development Partners. “This project is a great example of how innovative partnerships can make for stronger communities and better living environments for our residents. We are grateful to our partners for helping to get this vital project underway and look forward to welcoming everyone back when work is complete.”